Latest News:  


China Aviation Oil starts operation of storage investment in South Korea


09:53, April 02, 2013

SINGAPORE, April 1 (Xinhua) -- China Aviation Oil (Singapore) Corporation Ltd (CAO), the major physical jet fuel trader in the Asia Pacific region, said on Monday that its new oil storage terminal facility with total capacity of 1.3 million cubic meters in Yeosu of South Korea has started commercial operations.

The terminal is developed by CAO's associated company, Oilhub Korea Yeosu Co., Ltd (OKYC), 26 percent of whose stakes are owned by the CAO.

The oil storage terminal, under construction for a period of two years and with a total construction cost of about 500 million U.S. dollars, comprises 36 storage tanks with sizes ranging from 6, 000 cubic meters to 80,000 cubic meters.

It is capable of handling crude oil and the full range of refined petroleum products, the company said in the announcement handing to the Singapore Exchange.

The CAO represents the second largest shareholder of the joint venture, while Korean National Oil Corporation is the largest shareholder with stakes of 29 percent. Other shareholders include SK Energy, GS Caltex, Samsung C&T Corp, LG International Corp and Seoul Line Corp, the company added.

The CAO invested about 34 billion won (32 million U.S. dollars) for the 26 percent equity stake of the joint venture in October of 2011.

The terminal is only 1.88 days by sea from Tianjin and 1.21 days from Shanghai, respectively. It is also able to support trading activities to the west coast of the United States and Southeast Asia, the CAO said.

Meng Fanqiu, the Chief Executive Officer said: "As Korea is CAO 's main source of jet fuel supply and located geographically close to its key customers in China, securing oil storage at OKYC's terminal has significantly strengthened CAO's ability to ensure certainty of jet fuel supply to China."

He said the company has inked an eight-year storage lease with OKYC for middle distillates.

"The addition of the storage facility at OKYC's terminal will not only complement CAO's jet fuel trading business but will also enhance CAO's network of oil storage facilities in Asia Pacific, providing effective support to our jet fuel supply and trading business," Meng added.

We Recommend:

Photo Story: Bittersweet life of auto model

Top 10 richest people in Beijing 2013

34th Bangkok Int'l Motor Show to kick off

Beijing’s second-oldest McDonald outlet closed

Top 10 world's youngest billionaires 2013

China's solar giant declares bankruptcy

Email|Print|Comments(Editor:ChenLidan、Yao Chun)

Leave your comment0 comments

  1. Name


Selections for you

  1. South Sea Fleet in live-ammunition fire drill

  2. Servicemen popularize safety knowledge

  3. Obama hosts White House Easter Egg Roll

  4. Rush for Qingming Festival hits roads, rails

  5. 17 confirmed dead in Tibet landslide

  6. China's weekly story

  7. Sun Yang wins first match after reuniting with coach

  8. Bikini-clad girls move on Robstep

  9. Private aircraft stores opening across China

  10. Air China launches 2nd Beijing-NY direct flight

Most Popular


  1. New age of gender blending in China
  2. 'Tomb Sweeping Day' distorts meaning of Qingming
  3. Xi's visit starts new era of China-Africa relations
  4. Opinion: It's high time to stop hijacking Tibetans
  5. Significant risks remain for global economy:BRICS
  6. BRICS summit offers bright sunrise
  7. Western leaders learned nothing from Iraq disaster
  8. Home prices thwarts people's 'Chinese dream'

What’s happening in China

Sea burial held in China's Tianjin before Qingming

  1. Drug dealing pair sentenced to death
  2. Man suspected of stabbing women with needles
  3. More HIV cases among Chinese students
  4. Hero's ex-chief admits tainting baby formula
  5. Anger over officer who paid for child sex